Congressman Kirk blasted for his ties to BP Oil Company

For Immediate Release

June 17, 2010

Contact: Deirdre Murphy, (202) 485-3129

DECISION TIME: CONGRESSMAN KIRK SILENT ON COLLEAGUE’S APOLOGY TO BRITISH PETROLEUM – WILL HE STAND WITH BIG OIL YET AGAIN?

GOP Congressman Barton Apologized To BP CEO Tony Hayward For The "Political Pressure" His Company Is Facing, Calls $20 Billion Commitment “Shakedown”

Time for Congressman Kirk To Denounce Or Embrace Colleague’s Astounding Remarks

A key Republican Congressman apologized to British Petroleum C.E.O. Tony Hayward today during a congressional hearing, over the insistence that the Big Oil company create a fund to pay for all of the economic damages to residents of the Gulf coast resulting from the catastrophic oil spill. Congressman Joe Barton of Texas called the fund a “$20 billion shakedown” and said he was “ashamed” of the White House’s actions and offered his sincere apology to BP and it’s CEO Tony Hayward. Due to Congressman Kirk’s support for Big Oil, the Democratic Senatorial Campaign Committee is asking Congressman Kirk to denounce these comments from his Republican colleague immediately.

“Congressman Kirk has spent his career standing-up for Big Oil,” said DSCC Communications Director Eric Schultz. “Today, Congressman Kirk ought to denounce his colleague for crossing the line rather than embrace his apology to British Petroleum and its C.E.O. Congressman Kirk can either be ashamed of the White House for securing $20 billion to pay for damages, or he can be ashamed of his colleague for his shameless shilling for big oil.”

Today, a Republican colleague of Congressman Kirk offered his apology to Big Oil company British Petroleum and it’s CEO. Thus far, Congressman Kirk has also been a steadfast ally for his Big Oil backers. In light of his colleague’s tone deaf remarks today, will Congressman Kirk denounce this apology to BP or will he stay silent?”

Kirk Has Received Over $67,000 From Oil and Gas. Over his career, Kirk has taken $67,200 in campaign cash from the oil and gas industries. [Center for Responsive Politics, accessed 6/14/10]

Kirk defends his war time record in Iraq and Aghanistan

Dear Friend:

The negative campaign being waged against my 21 years of service in the United States Navy Reserve turned from dirty to ridiculous. Yesterday, WFLD allowed a partisan surrogate for Alexi Giannoulias to make ludicrous accusations without challenge or correction.

According to Giannoulias’ surrogate State Representative Linda Chapa LaVia (D-Aurora), I should “apologize to all the veterans especially the veterans during the Vietnam era because that’s when he supposedly served.” I was 13 years old when the Vietnam Paris Peace Accords were signed in 1973.

Rep. Chapa LaVia was on a roll. She also said “allegations are starting to come out where he falsified that he served in Iraq and Afghanistan too.” I served over Iraq as part of Operation Northern Watch in 2000 and twice served in Kandahar, Afghanistan.

Watch the clip below:

These are just two of many misleading assertions now emanating from Alexi Giannoulias’ campaign. At this point, it’s hard to take what he or his representatives say seriously.

Our state and this nation face serious issues: high unemployment, a soaring federal debt and the tragedy in the Gulf. After Broadway Bank’s collapse and massive losses in the Illinois Bright Start college savings program, Treasurer Giannoulias and his campaign surrogates will tell you anything to change the subject.

In the end, we will win this election because our ideas are better. We want a brighter future for Illinois families based on lower taxes, less spending, clean government and private sector job growth. We also want a brighter future for America with a strong national defense and unwavering support for democratic allies like Israel. And the people of Illinois do too.

I want to thank you all – especially my fellow veterans – for standing with me. Working together, we will return this Senate seat to its rightful owners – the people of Illinois.

Very truly yours,

Mark Kirk

Member of Congress

You know you're hurting when the President has to give you a hug

Illinois Treasurer Alexi Giannoulias got a hug and a "shout out" from President Barack Obama yesterday in Quincy, Illinois at one of several speeches Obama gave during his pump-up-the-economy tour through the Midwest.

If anyone politician needs a hug, it's Giannoulias, the youngest child apparently of the infamous Illinois Democratic family of trouble.

You know the name Giannoulias, but not from his having achieved anything spectacular while her served as Illinois' treasurer. During his entire time in office, it is hard to think of one major policy move he initiated that "wowed" anyone, except maybe his campaign contributors and political cronies.

As treasurer, Giannoulias would put on his Banking Hat -- which is really the only place you know anything about the guy -- and discuss issues like how the State of Illinois COULD HAVE stepped in to help consumers who are being exploited by the Credit Card companies which are charging interest rates that are making the Chicago Outfit blush. Yes, some credit card companies charge 30 percent interest, once you have rackedup enough debt and can't do anything about it except to pay the robbers in three-piece-suits.

When I asked Giannoulias about that last year on my morning Radio Show, he basically said the problem wasn't the credit card companies. The problem is with consumers who don't know how to manage their money. Well, not everyone comes from a family of bankers who have made millions of dollars in profit, and then took $78 million out of their bank months before it became clear that the Federal Government was going to step in and takeover that bank.

Oh, that's right. Maybe Giannoulias, who was an OFFICER at Broadway Bank, might have understood the issues with credit card rip-offs and overcharging and abusing consumers. Maybe that's why, as a banker, Giannoulias thinks the problem with credit cards is not the rip-off policies of the credit card companies, which are OWNED BY BANKS, but rather the problem of the consumers.

Unfortunately, Mr. Giannoulias. The consumers being ripped-off by the credit card companies ARE VOTERS. And right now, not many voters are happy with your selfish insensitivity.

Sure, we are impressed that you won state office, thanks to the millions your family and banking pals and friends poured in to your election to win that office, where you acted like a typical banker, I guess. And sure we are impressed that you are a basketball pal of President Obama's. Wow. That's great for you, not us schlubs, the consumers and voters, of course.

So now Broadway bank is taken over by the Federal Government -- thank God! And your family walks away with how many millions in profits from a bank failing? Usually when a business fails in everyday America, the business owners are the ones that suffer, not the public. Well, at least President Obama's Federal Government stepped in to rescue the bank from your grip, while you go around the state of Illinois and complain that, "Well, I was an officer at the failed bank but I had no responsibility for its problems or bad loans." We've heard that excuse before.

Thanks a lot Alexi for sticking it to the consumers one more time. At least President Obama is there to pat you ont he back and hug you and promise you a big job when the election is over in November. Maybe Obama will put you in charge of overseeing the nation's credit card company and banking fiasco after the November elections when U.S. Congressman Mark Kirk, who cares even less for the public's interests, take office.

You could do the right thing and step down, like Scott Lee Cohen did in the face of scandal that in his case was personal and had nothing to do with his business decisions. Maybe the Democrats can get their act together and appoint someone who has not only a chance of defeating Kirk, the flip-flopper, but also paying more attention to the needs of consumers and voters in this state.

but then, that would be like the credit card companies sending me a letter apologizing for the years of  excess interest rate charges at more than 20 percent, that they jacked up on me after breaking their contracted promise to give me a card at only 14 percent.

Hey President Obama. Here's a shout-out for you. How about some hugs and shout outs for the American people instead of your insider basketball buddy pals?

Wouldn't that be a story!

-- Ray Hanania
www.RadioChicagoland.com

The tragedy of Illinois' statewide elections -- the poor voters!

Broadway Bank, the clout-heavy insider institution smothered in controversy that financed the Giannoulias family, shut down this week. But while it's doors may have closed in one respect -- to be opened and managed by the Federal Government -- it's closing opens a huge and ugly door on the truth about the elections this November.

The poor voters. We get screwed by the Republicans. We get screwed by the Democrats. We get screwed by the Health Insurance robber barons. And we get screwed by the Banks and their credit card rip-off schemes. And now we get screwed again by being denied a decent choice among the disarray of pathetic and poorly qualified candidates running for statewide office this November.

No politically motivated Tea Party Movement pandering to the egos of some maniacal Conservative Republican nut jobs like Glenn Beck and Sarah Palin can save us.

We should be screaming about the poor quality of many of the candidates we're being force-fed, but voters are so pathetic themselves they won't even bother to vote. So whose fault is it?

Look at the election "field of screams."

For the race for U.S. Senate, our choice is Alexi Giannoulias, a candidate who made no mark of any significance in the office of Illinois Treasurer, his first real elective office. He did nothing there, except defend the banks and the credit card companies. Now, he wants to be our U.S. Senator, in the seat once held by President Barack Obama and now held by lame duck U.S. Senator Roland Burris.

What is Giannoulias's credentials? He is a basketball pal of President Obama. Not one great idea to helpt he taxpayers. Not one principled stand against the bankers -- obviously because he comes from a banking family that has a history of high profile controversial insider deals. How much money did the Giannoulias family take from Broadway Bank before it shut down? I read someplace they took more than $70 million. Paid themselves first.

And now Giannoulias wants to be our Senator.

No way. No how. And I am a Democrat.

On the other hand, who is our alternative choice. Self-serving PR-savvy double-talking flipflopper Congressman Mark Kirk who built his career exploiting the Iraq War where he served as a celebrity pilot in a reserve unit in the conflict. Not a hero. He just served. For us regular people who served in the military, we barely get a thank you. For Mark Kirk the politician with the mouth that never stops bragging, he wants to use his routine performance in the military -- he did what he was supposed to do and nothing more (which is sadly more than most of the people screaming for war over the past eight years have done), and now he expects to be rewarded with the high-paying powerful job of U.S. Senator.

No way. No how.

Then look at the equally pathetic race for Governor, filling the vacancy left by the scandal-plagued blow-hard and arrogant former Gov. Rod Blagojevich. Although he was unfairly treated by the U.S. Justice Department and the Illinois Legislature, the fact is Blow-hard Blagojevich made it all possible with his stupid public comments and his selfish political style.

We're supposed to believe that his successor -- and his former running mate -- Pat Quinn is going to set the boat straight and get this state back on its feet from the deep hole the state's political leaders have dug for the taxpayers over the years by caring for themselves and not caring for the interests of the state's economically deprived citizens.

Quinn is pathetic. A hypocrite. It's all about him. His career. he has been trying so hard to get to the top he has forgotten how to be a reformer. He's arrogant just like everyone of his predecessors and who knows what controversies he will step in when given the reigns of power.

His tax increase is the WORST idea. Instead of tightening his belt and cutting the fat from HIS administration, he's already stripping funds from communities across the state, crippling the budgets of many of the programs the people of Illinois need to survive, and placing the burden of the economic catastrophe we have in Illinois created by Pat Quinn, Alexi Giannoulias, Mark Kirk and all of the statewide elected officials on the shoulders of the taxpayers who never had a chance to begin with.

The elections and the government on the state level are rigged.

No way. No how.

And then there is Bill Brady, the downstate Senator. Such a sad missed opportunity when he was elected instead of State Senator Kirk Dillard, the one person who offered this state hope. Dillard could easily defeat Quinn. Brady cannot. In fact, every time Brady opens his mouth, he "steps in it" and you know what the "it" is. Here is a guy who is so rich that he refuses to release his income taxes. Why? He says because he wants to protect his business partners.

Well, if you really wanted to protect your business partners, you NEVER would have run for public office to benefit yourself. What have you EVER done as a State Senator besides moo with the rest of the herded legislative cows?

Brady is playing a cheap game of deception when he says he will releases his income taxes for three hours only for the viewing of reporters, at his Springfield offices. Not release them to the public. He doesn't want to public to know what he has done and how rich he is and how much he has profited. God forbid we might discover something shady about his business conduct and the only way to know if a politician is "clean" is to see their full tax returns.

The legislature should make it mandatory that candidates for public office should be REQUIRED to release their income tax forms as a part of their filing and all of their subsequent income tax forms MUST be filed ON TIME and in every year they hold public office OR are running for public office. To do anything less is a slap int he face of the voters.

No way. No how.

So who do we vote for? The pathetic third parties who want to tell that one of their candidates "won" 10 percent of a vote in some past election. That's not winning. That's losing by a landslide and it's a reflection on their inability to convince voters of their programs.

We're screwed.

Our only hope is this:

1 -- The Democrats force Giannoulais to step down and replace him with someone else. If they don't Illinois will be stuck with Kirk for six years of misery and suffering and poor leadership. Kirk is a conservative fanatic trying to appease voters with his phony "I'm a moderate Republican" BS.

The sad irony here is that Burris has proven to be the BEST US Senator this state has had in a long time. He has voted his conscience and on what's best for the citizens. All that BS about him being tainted because he was appointed by Blow-hard Blagojevich is Balgojevich Baloney.

2 -- Pat Quinn needs to get his act together and do some serious rethinking of everything he holds dear. Otherwise, we will get stuck with Brady, another Republican insider who will destroy this state through inept leadership and partisan political agendas. Blagojevich was right about Quinn, but not in a caring way for the taxpayers, rather, because it made him feel good about the mess he helped create for himself.

As for the rest of the candidates running for public office. None of them mean a hill of beans if they don't have th guts to stand up and tell the voters what needs to be said. They are so afraid of creating enemies they just want to slink past and win office. They don't want to rock the boat at all. They just want to get back in office, because the only place safe in today's economy is in an elected office where health and pension benefits come almost free picked from the low-hanging taxpayer funded broken state branches.

At least this year, voters who don't waste their time caring about the miserable state of our government and politics will have a legitimate excuse to stay home and let the insiders take everything and destroy everything all at the same time.

We'll be talking about this topic on my radio show this week beginning Monday morning at 8 am. Call in, if you care. Snooze if you're happy with the garbage we call statewide government.

-- Ray Hanania
www.RadioChicagoland.com

Former Congressman Bill Lipinski predicts Gov Quinn will win re-election

Former Congressman Bill Lipinski this morning on WJJG 1530 AM Radio's "Mornings with Ray Hanania" discusses Obama's health care package, criticizing his failure to focus his comments more effectively; discussing the Illinois elections for governor and U.S. Senate predicting Gov Pat Quinn will win hands down and that State Comptroller Dan Hynes could take the race from both Congressman Mark Kirk and Alexi Giannoulias. www.RadioChicagoland.com

Lipinski's comments are podcast. Click HERE to listen.

end

Lisa Madigan out is big news: what does that say about those still running?

It's big news that Illinois Attorney General Lisa Madigan announced yesterday that she is not running for either the office of Illinois Governor or U.S. Senator for the former Barack Obama seat in Washington.

If that's big news, what does it say about all the candidates who are running for those offices. Yikes!

Here's what all the players in this drama want:

Mike Madigan, the Illinois House Speaker: Found himself in a dilemma. He wants his daughter to become Governor, or possibly now US Senator -- Senators do become presidents -- but he also wants to maintain his iron fist majority rule in the Illinois House and the battle over the budget could jeopardize that. He's held back on an income tax increase to protect his daughter and to protect the many spineless legislators who don't want to say if they will support an income tax increase until they know for sure no one of substance will be running against them in this Spring primary.

Gov. Pat Quinn: The deer in the lights. He can't balance his promises of reform against the need to play tough politics. Inept in political diplomacy, Quinn's only talent is to lead often but not always losing campaigns for reform. This time, Quinn was able to reverse course and do nothing to push reform while the wolves ripped the reform chicken to pieces. With Lisa Madigan "in" the race, he could blame everything on Mike Madigan. Now that she is out of the race, he has to blame everything on his pathetic lack of leadership and his hypocrisy.

Senate President john Cullerton: It makes it easier for him to take marching orders from Mike Madigan, who is the defacto governor.

Democratic, spineless legislators: They are falling to their knees crying and yelling "Hail Marys" for their great fortune that they don't have to worry about anything any more. no more important decisions. No more possibilities they will get beat and lose all the perqs and clout and jobs they've gotten their families. And now they don't even have to work. Mike Madigan will do all the thinking for them.

State Republicans: They are in total disarray and divided into two messed up camps. Despite some good leaders, they can't get their act together. Lisa Madigan removing herself from the race allows mediocracy to rule again and anyone can run for office to get a good headline, like Sen Kirk Dillard, who has done what in the past decade? At least Dan Proft, the ultra conservative candidate for Governor, has some good ideas.

News media: We wanted Lisa Madigan to run for either office. She great news. And the dilemma it would cause in Springfield over the budget battle only becomes more dramatic as a news story.

Alexi Giannoulias: Who?

Former Gov. Rod Blagojevich: With all the reality shows out of the way, he's left with fighting the U.S. Attorney Patrick Fitzgerald who is out to get him with a vengeance. And all he can do is appear on a morning radio talks how that hammers him when he's not looking.

The public: They are left out in the cold.

-- Ray Hanania

www.RadioChicagoland.com

Lisa Madigan says she's not a candidate and that's big news: what does it say about those left who are running?

It's big news that Illinois Attorney General Lisa Madigan announced yesterday that she is not running for either the office of Illinois Governor or U.S. Senator for the former Barack Obama seat in Washington.

If that's big news, what does it say about all the candidates who are running for those offices? Yikes!

Here's what all the players in this drama may want:

Mike Madigan, the Illinois House Speaker: Found himself in a dilemma. He wants his daughter to become Governor, or possibly now US Senator -- Senators do become presidents -- but he also wants to maintain his leadership in the Illinois House and the battle over the budget could jeopardize that. He's held back on an income tax increase to protect his daughter and to protect the many spineless legislators who don't want to say if they will support an income tax increase until they know for sure no one of substance will be running against them in this Spring primary. Madigan is a brilliant legislator who has done much for the State of Illinois, despite the very few differences he and I share.

Gov. Pat Quinn: The deer in the lights. He can't balance his promises of reform against the need to play tough politics. Inept in political diplomacy, Quinn's only talent is to lead often but not always losing campaigns for reform. This time, Quinn was able to reverse course and do nothing to push reform while the wolves ripped the reform chicken to pieces. With Lisa Madigan "in" the race, he could blame everything on Mike Madigan. Now that she is out of the race, he has to blame everything on his pathetic lack of leadership and his hypocrisy.

Senate President John Cullerton: It makes it easier for him to take marching orders from Mike Madigan, who is the defacto governor.

Democratic, spineless legislators: They are falling to their knees crying and yelling "Hail Marys" for their great fortune that they don't have to worry about anything any more. no more important decisions. No more possibility they will get beat and lose all the perqs and clout and jobs they've gotten their families. And now they don't even have to work. Mike Madigan will do all the thinking for them.

State Republicans: They are in total disarray and divided into two messed up camps. Despite some good leaders, they can't get their act together. Lisa Madigan removing herself from the race allows mediocracy to rule again and anyone can run for office to get a good headline, like Sen Kirk Dillard, who has done what in the past decade? At least Dan Proft, the ultra-conservative candidate for Governor, has some good ideas.

News media: We wanted Lisa Madigan to run for either office. She has great news. And the dilemma it would cause in Springfield over the budget battle only becomes more dramatic as a news story.

Alexi Giannoulias: Who?

Former Gov. Rod Blagojevich: With all the reality shows out of the way, he's left with fighting the U.S. Attorney Patrick Fitzgerald who is out to get him with a vengeance. And all he can do is appear on a morning radio talk show that hammers him when he's not looking. Blagojevich should just shut his mouth, but unfortunately for him, it's not in his DNA. Blagojevich is his own worst enemy.

And the public? They are left out in the cold.

-- Ray Hanania

www.RadioChicagoland.com

Whose name isn’t being floated as a candidate for US Senator

The game is on for anyone with any kind of political ambition, mediocre public record or political consultant on the payroll to float their own name to run for U.S. Senator, replacing the stumbling and forgetful Roland Burris.

It’s all presumptuous, of course. Not one of the floated candidates has achieved anything of any significance in terms of past or current public service or seems to even care about what’s best for the public. They’re all being driven mainly by their ego and a selfish sense of entitlement.

One of the first out of the box was the mediocre Illinois Treasurer Alexi Giannoulias. He’s young. Has lots of friends. And a history of controversy involving his family’s banking business. Worse, he thinks that the problem with credit cards isn’t the fault of the bankers – naturally he’s not going to blame his pop – but the fault of those stupid, ignoramuses called “the consumer.”

Giannoulias says that if the banks are ripping the public off by their unethical misconduct raising interest rates to levels higher than that charged by the mob, it’s the public’s fault. The very same public Giannoulias will need in order to win office.

Sorry Mr. Treasurer. You’re a nice guy. You have potential. But how about doing something significant in your current office, other than pander to the low life, scum bag banking industry?

Oh. I did see you on TV promoting yourself and giving a check to some guy who forgot he had a million dollars in an investment someplace. Bet he’ll donate to your campaign?

And then there is Chris Kennedy. Oh, let me utter the sacred word again. Kennedy. Kennedy. Kennedy. There are some really fat, greedy and selfish political consultants who have been feeding off of the Kennedy trough for years, exploiting the public interest and filling their hog-like ambitions with contracts, donations and elitist accolades.

Yet, where has Chris Kennedy been all these years? Running the Merchandise Mart, the family business?

Was he working on the streets helping the people? Is he standing up to Mayor Richard M. Daley, Chicago’s Monarch-for-Life who gave one of the Chicago Police Department’s worst terrorists, Jon Burge, a get-out-of-indictment card for years?

Is he standing up to the outrageous taxation imposed by King Richard and his minions, Cook County Board President Todd Stroger, the Todd Pole?

Has he shown some of the profile in courage that was the earmark of his great father, the murdered U.S. Senator Robert Kennedy or his uncle, the murdered President John F. Kennedy.

Or has he just sloshed around aimlessly lavishing in the family name, surrounding himself with selfish advisers concerned about pomp and ceremony and who bad mouth anyone and everyone in order to protect their own domain. They surround themselves with the slimy political eels and leeches of Chicago who care little for the people and only care about their power obesity?

And people wonder why the public is fed up with voting and doesn’t show up at the polls any more. The turnout is worse and worse each year. Not because the public has forgotten the importance of voting. They’ve only come to acknowledge the falling credibility and quality of the candidates who are running for office these days.

Their choice as a public is dismal. They can choose the worthless do-nothing self-serving politicians who are in office. Or, they can choose the worthless do-nothing self-serving politicians who are not in office.

How about before Chris Kennedy offers his name up for the $174,000-a year public servant job in the U.S. Senate, maybe he shows the public first how he can be their servant.

We’ve have enough doofuses in public office already, including one who can’t seem to give a straight or honest answer to explain his ties to disgraced former Gov. Rod Blagojevich.

We don’t need another one, especially one with a gold-plated family name.

-- Ray Hanania
www.RadioChicagoland.com

State Treasurer Alexi Giannoulias on radio show Wed Dec. 19

State Treasurer Alexi Giannoulias will guest on Ray Hanania's radio show, Radio Chicagoland, Wednesday Dec. 19, 2007.

Visit www.RadioChicagoland.com for details

Giannoulias: Drive Clean, Save Green
Hybrid buyers eligible for $1,000 rebates
July 15, 2007

To combat rising gas prices, Illinois State Treasurer Alexi Giannoulias today unveiled a new statewide rebate program designed to make fuel-efficient hybrid vehicles more affordable.
Under the “Green Rewards” program, the Treasurer’s Office will partner with banks and credit unions throughout the state to issue $1,000 rebates to Illinois residents who purchase a hybrid or other energy-efficient automobile.

“Hybrid cars use less gas, but they cost more upfront,” Giannoulias said during a press conference at Grant Park. “Green Rewards entices Illinois residents to buy fuel-efficient, clean-burning vehicles by offering $1,000 rebates. This will help them recoup their investment faster while they save money at the pump.”

Green Rewards is the first incentive program to encourage hybrid purchases in Illinois. The program offers the largest state rebate for hybrids in the nation.

Giannoulias is pledging $2 million in Green Rewards during a statewide tour in his personal hybrid vehicle. The Treasurer’s Office will fund the program by depositing money at local banks and credit unions at a below-market interest rate. The money that those institutions save in interest is passed to consumers in the form of $1,000 rebates at the time of purchase.

To take advantage of the program, buyers must secure a car loan from a participating bank or credit union for a new hybrid vehicle or an eligible electric or fuel cell vehicle. Purchasers can receive one rebate per vehicle, allowing municipalities or other entities to receive additional cash back when acquiring fuel-efficient fleets.

Mayor Richard M. Daley endorsed Green Rewards, saying it complements Chicago’s commitment to protecting the environment.

“This is a great program that will encourage people to purchase hybrid vehicles which conserve fuel, save money and protect our environment by reducing harmful emissions,” Daley said. “In Chicago we are leading by example by purchasing City vehicles and buses that are hybrids or run on alternative fuels. Purchasing these types of vehicles will go a long way to help conserve and protect our valuable natural resources and our quality of life for future generations.”

Current hybrid cars can get up to 60 miles to the gallon on the highway and produce up to 80 percent less harmful pollutants and greenhouse gases than comparable gasoline cars. But they cost $1,200 to $10,000 more than their fossil fuel counterparts.

Studies show that the Ford Escape, Honda Civic, Toyota Camry and Toyota Prius all recover their price premium through fuel efficiencies after the first five years or 75,000 miles of ownership.

Fourth of July gas prices were 89 cents higher this year than two years ago. As of Friday, the price of regular unleaded gasoline in Illinois was $3.30, 25 cents more than the national average. If gas prices remain at this rate, average hybrid drivers could save $5,000 in gas by the time they drive 120,000 miles.

“For every dollar that is spent on the program, drivers will save $5 on fuel over the life of their vehicle,” Giannoulias said. “That’s a deal government should make every day of the week.”
Jack Darin, Director of the Sierra Club’s Illinois Chapter, supports the Drive Clean, Save Green campaign.

“The cars we drive in Illinois account for 26 percent of the global warming pollution we put into the atmosphere,” Darin said. “By rewarding car buyers who choose a hybrid over a gas guzzler, Treasurer Giannoulias' Green Rewards program will help more Illinois drivers get into a car that is part of the solution to global warming, while saving money at the gas pump.”

Giannoulias has ordered two hybrid vehicles to replace a pair of gas-only vehicles and will replace others with fuel-efficient models when their leases expire.

Hybrid and other fuel-efficient vehicles reduce harmful environmental triggers that contribute to asthma, said Harold Wimmer, President and CEO of the American Lung Association of Illinois-Greater Chicago. In 2003, approximately 20 million Americans had this chronic lung condition, which accounted for an estimated 12.8 million lost school days in children and 24.5 million lost work days in adults.

“I applaud the Treasurer’s Office for encouraging Illinois residents to proactively reduce their exposure to harmful environmental triggers that contribute to asthma, such as gasoline exhaust,” Wimmer said. “Hybrids are a clean air choice that will help to prevent lung disease and promote the lung health of all Americans.”

Illinois State Rep. John Fritchey believes Green Rewards will pay off for Illinois residents who want to save money and reduce global warming.

“This is a great example of what can be accomplished through innovative ideas and proactive leadership,” Fritchey said. “The Treasurer’s investment will result in financial dividends for people wanting to drive energy-efficient vehicles, and environmental dividends for all Illinoisans now and into the future.”

Green Rewards also received an endorsement from Howard Learner, Executive Director of the Environmental Law & Policy Center.

“Hybrid cars produce much less pollution and can save car buyers money over time because of high gas costs,” Learner said. “The State Treasurer's program provides a helpful incentive for purchases of these cleaner cars that help solve our global warming problems through technological innovation.”

Green Rewards is one of the State Treasurer’s Cultivate Illinois Agricultural and Environmental programs.

For more information contact:

(312) 814-1901 or (217) 557-6436 or cultivateillinois@treasurer.state.il.us.


State Treasurer overhauls 'Bright Start' $2.1 billion college savings program to become one of the most affordable in the nation;
New program manager commits millions
in scholarships to Illinois students

March 12, 2007

State Treasurer Alexi Giannoulias today named a new administrator for the state’s tax-exempt college savings program so Illinois families can earn more money to send their children to college.

The new program manager, Oppenheimer Funds, Inc., will significantly reduce the costs of Bright Start, making it among the lowest-cost programs in the nation, and will offer better investment options to gain a higher rate of return. In addition, Giannoulias negotiated $3.5 million in scholarship money that Oppenheimer will earmark for Illinois students planning to attend college.

Bright Start has come under criticism for its underperforming funds and high structural costs. Savingforcollege.com, an independent authority that analyzes college savings programs, recently ranked Illinois’ Bright Start program 47th out of 48 plans nationwide. Giannoulias is confident this overhaul will turn Bright Start into one of the best college savings plans in the nation.

“Stronger performing funds, increased investment options and lower fees will make Bright Start a vastly improved program for current participants and much more attractive to prospective investors,” Giannoulias said. “With costs of college skyrocketing, Oppenheimer will give Illinois families the biggest bang for their buck.”

Bright Start’s former program manager, Legg Mason, will complete its transfer of accounts to Oppenheimer within the next few months.
Scholarships

As part of its seven-year contract, Oppenheimer will allocate $3.5 million in scholarship money to college-bound students. The Treasurer’s Office is developing a selection process and criteria to award the $500,000 in annual scholarships to Illinois students from low- and middle-income families from every region of the state.

“The $3.5 million devoted to scholarships demonstrates the state’s and Oppenheimer’s commitment to support students who do the right thing, work hard and understand the importance of going to college, but require some extra financial help,” Giannoulias said.

Better Performing Funds

As one of the nation’s largest and most experienced money managers, Oppenheimer will offer Illinois residents an impressive portfolio lineup, which will include popular, strong-performing Oppenheimer and Vanguard funds. All of the underlying funds Oppenheimer will employ in Bright Start are currently ranked in the top quartile by Morningstar, Inc. and Lipper. Both Oppenheimer and Vanguard equity portfolios have outperformed the existing Bright Start portfolio during the past three years.

Along with its actively managed funds, Bright Start will offer a portfolio of index funds for the first time. Index funds seek to match the performance of specific stock and bond market indexes, such as the Standard & Poor's 500 Index. Index funds generally have lower fees than actively managed funds, which rely upon managers to buy stocks in an effort to outperform the market as a whole.

“Our Vanguard Index funds are safe investments that take the guess work out of investing at a much lower cost than actively managed mutual funds,” Giannoulias said.
Investors will have the option of choosing from different investments that provide exposure to three equity options – an S&P 500 index fund, a small-cap index fund, and an international index fund.

Current investors will have their assets transferred from existing mutual funds to similar actively-managed funds managed by Oppenheimer. The asset allocation and the percentage of the investments in stocks, bonds, international investments, etc., will remain the same. The Treasurer’s Office will notify all Bright Start account holders about the changes to the program and will provide information on how to transfer assets to index funds.

Costs and Fees

Giannoulias also announced significant reductions in the costs of Bright Start, which will make it one of the most affordable college savings plans in the nation.

“There is no reason why a college saving program with in $2 billion in assets should have such high fees,” said Giannoulias, referring to the old plan that required participants to pay a .99 percent annual fee.

Under the new plan, costs will vary from .19 percent to .21 for index funds and .53 percent to .64 percent for actively managed funds.

“High expenses can siphon off returns and limit financial gains that ultimately eat away at money that would have gone toward tuition,” said Giannoulias, noting that Morningstar criticized Bright Start’s high fees, saying they took up a “sizable portion” of fixed income returns.

Under the new contract, the typical Bright Start investor will save approximately $5,000 to $10,000 in fees. These figures are based on a family that contributes $3,000 per year for 18 years and earns an industry-average 8 percent return. Investors who choose Vanguard funds will save the most because the fixed index funds have a much lower expense ratio.

The Treasurer’s Office also negotiated break points in the new contract, which call for Oppenheimer to reduce Bright Start’s fees as investor’s assets increase. This will ultimately reduce the overall costs for individual participants.

Tax penalty

In addition to naming a new program manager, Giannoulias is seeking to pass legislation that will eliminate the tax penalty imposed on Illinois residents who invest in out-of-state 529 programs.

Illinois is one of two states that impose a 3 percent state tax on the earnings residents receive from 529 plans administered in other states, and residents must pay income tax on contributions to out-of-state plans.

“We should not punish Illinois residents because they want to get the most for their money,” Giannoulias said. “Illinois’ savings plan should attract investors based on its own merits and because it’s the best in the country, not because investors will get penalized if they go elsewhere.”

Giannoulias’ bill (HB 376), sponsored by State Rep. Jack Franks (D-Woodstock) and State Sen. James Clayborne (D-East St. Louis), to remove the penalties has won unanimous approval in the Illinois House and now awaits a vote in the Illinois Senate.

Nearly every state runs a college savings program, called a 529 plan after the section of the IRS code, which offers tax advantages to investors who use the money to cover the costs of higher education. Earnings on 529 plan investments are exempt from state and federal income taxes.

Bright Start, which was created in 2000, boasts more than $2.1 billion in assets and has more than 142,000 separate accounts.